And that address (Service@paypal.com) is all that appears in the email reader.
It's only when you right-click on it to make it reveal the full address is the bogus actual address (peypal.com) revealed ... and some folks would miss the shift anyway (peypal vs. paypal). "Phishing" is where the scammer doesn't steal your information directly -- rather, the scammer "fishes" for information in such a way as to lure you into GIVING it to him/her. Don't fall for it!
Remember, simple online safety rule #1:
Observe the same safety precautions online as you do on the telephone.
Just as you would never give out personal information to someone who called you (RIGHT??), you should never give account information about yourself or your digital world to anyone who initiated the contact with you, particularly through an email.